Balancing Accounts Receivable Daily:
- A/R should be balanced each day after posting sales and cash.
Note: these procedures can be used to balance daily):
- Use the previous end-of-month A/R total and add in the total invoice amount from the sales posting journal.
- Subtract the total change to A/R from the cash posting register.
In Task #32: System Management Functions, Sub-task #1:Display total value of A/R Open, enter:.
- Starting date: Always use date 01/01/70.
- Ending date: Use the date sales and cash were posted for.
- Include Retail Accounts? (Y/N): Defaults to N. Always answer Y for YES.
- Date Basis:(1)Due/(2)Document: Use #2 Document.
- Please enter - Starting division/Ending division: Enter for ALL or if balancing divisions individually, use division number.
- The A/R totals will then be calculated. The screen will show: sales value, payment value, credits value, finance charges, debits value, service value, refunds value, deposits value, and Total value. NOTE:The only amount to be concerned with is the Total value at this time.
- The total value should equal the calculated totals. Previous end-of-month A/R Balance + Total invoice from sales posting journal - Total change to A/R on the Cash Posting Register = Total Value from Display Total A/R Open.
- DAILY: Keep a note book specifically for writing down daily total value of A/R. Do this each day. Use the new total of A/R as your starting figure.
**If you do not balance:
- Check the postings to see if there are any zero documents #'s. There should NEVER be any zero document #'s. If the zero document is for a zero amount, it may be deleted from the A/R open, but be VERY careful.
- The dates on the postings should be only the one day that was posted.
- Check for invalid Gl account messages. Find the item on the invoice that is the cause of the problem and fix the GL # in Inventory Control (Module 5), Item Master (Task 17).